Federal New Markets Tax Credits (NMTCs) are designed to incentivize investment in low-income communities by attracting the private investment necessary to reinvigorate these areas. This financing tool has been invaluable to Uptown Consortium, Inc. (UCI) in driving its mission to revitalize Uptown Cincinnati through 18 projects (and counting).
See How Our Past is Shaping Our Present
As UCI marks its 20th anniversary, it's timely to reflect on how it has utilized the NMTC tool to foster job creation, improve access to essential services, and revitalize Uptown neighborhoods. To commemorate this milestone, UCI is launching a monthly feature showcasing past NMTC projects in Uptown, demonstrating their impact and alignment with UCI's mission.
USquare at the Loop: $24 million in NMTCs
Calhoun Street is a prominent thoroughfare in the heart of Uptown’s Clifton Heights neighborhood, but a critical portion was underutilized. UCI’s $24 million NMTC investment helped give rise to USquare at the Loop, a 251,000 square feet mixed-use development across the street from the University of Cincinnati. Completed in 2013, the $82 million project includes 161 residential units (market rate and affordable), 80,000 square feet of retail space, 40,000 square feet of office space, a 700-space parking garage, transforming once vacant and underutilized land into a hub of housing and economic activity.
USquare hosts a variety of businesses, such as Mr. Sushi, Amazon Hub Locker, Raising Cane’s, Starbucks, Chase Bank, Gee’s Caribbean Kitchen, Body Alive, DiBella’s Subs, Target, Elephant Walk, Auntie Anne’s, Spectrum, Hop Scotch, Dirty Dough, Avalanche, Athletico Physical Therapy, Fairfield Inn, alongside several University of Cincinnati offices, serving those who live in, work and visit Uptown. A lawn divides the two blocks of USquare, providing much-needed green space for the bustling area. The green space is available for social, musical, cultural, and neighborhood events year-round. 184 permanent full-time jobs were created within two years of the project’s completion, and 175 residents and 83 minorities were hired at locations within the project.
Financing was secured from multiple public and private sources, including NMTCs from three allocatees. Public financing included tax increment financing from the City of Cincinnati to fund two public parking garages to support the project. The project was developed through a partnership between for-profit and non-profit development partners. Clifton Heights Community Urban Redevelopment Corporation holds a 50% interest in the project.
“Coming out of the economic downturn during the late 2000s, there was a lot of skepticism about whether a project like USquare was financially viable,” said Matt Bourgeois, Executive Director of the Clifton Heights Community Urban Redevelopment Corporation. “This area had suffered from severe disinvestment for decades and in many people’s minds, Clifton Heights was a neighborhood you avoided.”
“Thanks to institutional support and the subsidy provided by using New Market Tax Credits, we could sell our vision for what our business district could be. That investment allowed the heart of our business district to be rebuilt and our now thriving business district is home to over 130 businesses,” Bourgeois said.
Recent Activities
In 2023, UCI was awarded $20 million in federal NMTCs. It was one of three Ohio entities and the only organization in Cincinnati to be awarded. UCI’s latest NMTC investments were the Blood Cancer Healing Center and Domestic Violence Shelter.
Since 2009, UCI has been awarded $195 million in NMTCs, which has leveraged an estimated $2 billion in additional investment into the community. "As we look back, it propels us to shape Uptown’s story. As you can see, we back high-impact projects to drive lasting change in Uptown," said Beth Robinson, UCI’s President and CEO.
Keep an eye out for future NMTC project announcements and development efforts that are propelling Uptown forward into a new era of progress!